A number of Glenelg Shire residents concerned about rising rates are expected to attend the council's June meeting on Tuesday night.
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Marnie Lewis, who lives in a three-bedroom weatherboard home in Portland, said her rates were expected to rise by $400 if the council adopted its draft budget.
That's in addition to a $1200 increase in the previous financial year.
Mrs Lewis said her rates bill would cost about $3500 if councillors voted to adopt the budget.
"The money we planned to use on renovations will now be used on our rates," she said.
Mrs Lewis said she was also concerned her adult children would find it difficult to afford to buy a home.
"My kids are trying to save for homes, which is already hard enough with the rising cost of living," she said.
"I'm concerned these rate rises will make it even harder to enter the market."
Mrs Lewis said she would be attending the meeting on Tuesday night.
Fair Go for Glenelg Shire Rate Payers member Howard Templeton said he was concerned that residents would be hit with an average rate rise of 20 per cent.
"The increases will affect everyone across the shire," Mr Templeton said.
Mr Templeton, who has a farm at Tahara Bridge near Merino, said his rates were increasing by 55 per cent.
"I don't know how people, especially pensioners on a fixed income, are going to be able to pay it," he said.
Mr Templeton urged councillors on Tuesday night to "defer the budget and go back to the drawing board".
He said the rate hike would be another blow to households affected by increased food and electricity costs and the rising price of fuel.
At last month's Glenelg Shire Council meeting, a number of residents asked questions about the rising rates.
Mayor Anita Rank acknowledged people were dealing with the rising cost of living but added that councillors had worked long on the budget and tried to achieve cost savings.
Glenelg Shire Corporate Services director David Hol said council had proposed transitioning from a rebate to a differential rate after 18 months of consultation.
He said it was clear the rebate had been applied to farm rates, every year, over the past decade.
"The allegation that it is an accounting practice or that the 30pc rebate was not applied is totally inaccurate."
In its draft budget, the council proposed replacing the rebate with a differential of 70pc, which would be one of the lowest offered by similar councils in the region.
In its Draft Differential Rating Discussion Paper the council said the rebate scheme had increased in value from just over $1m in 2010/11 to nearly $3.5m in 2021/22.
Officers told the council the transition from the current structure to a differential model was a significant change.
"Due to the nature of a differential scheme distribution, these changes will impact all ratepayers within the municipality, not just those receiving the rebate," they said.
"The financial position of council is such that it cannot continue to provide an escalating discount rebate scheme within a state government rate capping environment and that the circumstances are now timely to review the rating structure," the council was told.
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